Auctions

Auctions are a new feature on Debita v3 built to liquidate defaulted unsplittable positions. This feature is also open to the public, allowing any user to create auctions to sell their assets. When initiating an auction, the seller must define the initial price (and the token wanted as payment, maximum discount from initial price, and auction duration, all of which can be edit after the auction is live.

The duration pertains to the time taken to reduce from the initial to the floor amount, but the auction remains active until sold or canceled. A tick will be calculated to determine the rate of price decrease.

If the floor price is lowered — only to an amount less than the current floor — the tick remains unchanged. The auction duration will be extended by _(currentPrice - newFloor) / tick